Finding a vehicle can be difficult. Adding IRS requirements can be tough if you’re not familiar with what to search for. Thankfully there are tax credit eligible cars on Carvana that can be easily filtered on to help you with your search.
Key Takeaways
- Leveraging filters in your search is your friend
- Carvana provides a great return policy if you don’t like purchase
What is Carvana?
The current car process is generally not pleasant. First, you have to find the car, call the dealership, hope the car is available when you get there, and then hope you’re not upsold extremely by the car salesperson. At the moment you agree on a price, you then have to wait for what feels like an eternity to get the appropriate paperwork signed and approved.
Depending on which city you live in, you may have driven past what looks like a gigantic vending machine for cars.
CarVana is an online marketplace that aims to revolutionize the car search process by allowing you to search, purchase, and receive a new vehicle all from your home.
Sounds kind of crazy right, but thousands of cars have been bought through CarVana over the past decade. As of this writing, I have a couple of friends who bought cars from them with overall good experiences.
Some people didn’t mention the registration process took a little longer than expected, but I think that comes with the territory of new companies working out a few processes.
Carvana even provides a 7-Day Money Back Guarantee period if this helps to calm any nerves you may have.
Understanding the Used Clean Vehicle Credit
The Used Clean Vehicle tax credit is a government incentive designed to make electric vehicles more accessible and affordable to a broader audience. (IRS).
When it comes to the used clean vehicle tax credit, not all vehicles are created equal. This incentive focuses on used electric vehicles (EVs) and plug-in hybrids (PHEVs).
If you’ve ever purchased a car before, then you’re aware that vehicles depreciate as soon as they are driven off the lot. New electric vehicles and plug-in hybrids brand new can be too expensive for many.
Now with the Used Clean Vehicle Credit, these vehicles become more affordable for future car buyers. This tax credit is limited to used vehicles under $25,000 and at least two years old, broadening the spectrum of eligible vehicles.
What are Electric Vehicles and Plug-In Hybrids
EV vs PHEV
- EVs: Offer a fully electric driving experience, with no emissions and lower operating costs.
- PHEVs: Combine a conventional engine with an electric motor, providing flexibility and extended range.
PHEVs can be great for those who want to take advantage of the tax advantage and mileage efficiency but don’t want to make the jump to full EV.
Steps to Find Tax Credit Eligible Cars on CarVana
1. Navigate to Carvana.com
2. Click Search Cars
3. Under Great Deals, Select EV Credit Eligible
In addition to the EV Credit eligible option, you can select any other details important to you such as body style, make, mile, and year.
Generally, I try to go with vehicles 15k or less miles driven per year but each person has their preference for what is important to them.
4. You’re All Done!
And like that, you’ve been able to easily filter down on EV Tax Credit Eligible used vehicles without having to guess.
If you select the EV Tax Credit Label, CarVana also explains to you what the requirements are and this helps ensure the car has been properly vetted.
Summary
Finding your next electric vehicle or plug-in hybrid vehicle does not need to be scary. When shopping online, many auto retailers have made this process easier by allowing you to filter on the exact details important to you.
If you take advantage of these filters, you will be shortly on your way to driving in your new car!